The Consensus EPS Estimates For Abitare In S.p.A. (BIT:ABT) Just Fell Dramatically

One thing we could say about the analysts on Abitare In S.p.A. (BIT:ABT) - they aren't optimistic, having just made a major negative revision to their near-term (statutory) forecasts for the organization. Both revenue and earnings per share (EPS) estimates were cut sharply as analysts factored in the latest outlook for the business, concluding that they were too optimistic previously.

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Following the downgrade, the most recent consensus for Abitare In from its dual analysts is for revenues of €95m in 2026 which, if met, would be a sizeable 50% increase on its sales over the past 12 months. Statutory earnings per share are presumed to shoot up 964% to €0.16. Previously, the analysts had been modelling revenues of €143m and earnings per share (EPS) of €0.60 in 2026. Indeed, we can see that the analysts are a lot more bearish about Abitare In's prospects, administering a pretty serious reduction to revenue estimates and slashing their EPS estimates to boot.

Check out our latest analysis for Abitare In

It'll come as no surprise then, to learn that the analysts have cut their price target 7.5% to €4.95.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that Abitare In's rate of growth is expected to accelerate meaningfully, with the forecast 50% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 4.8% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 6.6% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Abitare In to grow faster than the wider industry.

The Bottom Line

The biggest issue in the new estimates is that analysts have reduced their earnings per share estimates, suggesting business headwinds lay ahead for Abitare In. Unfortunately, analysts also downgraded their revenue estimates, although our data indicates revenues are expected to perform better than the wider market. Given the scope of the downgrades, it would not be a surprise to see the market become more wary of the business.

As you can see, the analysts clearly aren't bullish, and there might be good reason for that. We've identified some potential issues with Abitare In's financials, such as its declining profit margins. Learn more, and discover the 2 other concerns we've identified, for free on our platform here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.